Go-Jek, an Indonesian company specialized in ride-hailing and logistics, has announced that it is investing on Coins.ph, a financial services platform in the Philippines.
Go-Jek announced that it is making a substantial acquisition of shares of Coins.ph to meet the financial needs of Filipinos. The companies have also announced the partnership between Coins.ph and Go-Jek’s payments platform Go-Pay wherein they will work together to promote cashless transactions in the Philippines.
“With the second largest population and a strong domestic economy, the Philippines is one of the most exciting markets in Southeast Asia. Supporting the success of a local fintech entrepreneurial champion like Coins.ph, with a similar ambition to empower society through innovation and technology, has always been part of our passion for growth. Today’s announcement marks the start of our long-term commitment to the Philippines and a continuation of our mission to use technology to improve everyday lives and create a positive social impact,” said Go-Jek Founder and CEO Nadiem Makarim.
“Coins.ph and Go-Jek share the same vision that has made each a success in their markets, empowering their customers by giving them lower-cost and more convenient access to services. Together we have a tremendous opportunity and by leveraging Go-Jek’s resources and expertise, we can give Filipinos even more convenience, choice, and access to the services they want,” said ?Ron Hose, Founder and CEO of Coins.ph.
According to a WeAreSocial 2018 report, Southeast Asia has one of the highest rates of mobile connectivity in the world, with Indonesia and Philippines boasting higher mobile user penetration and mobile connectivity than the worldwide average. And yet, according to data from Bangko Sentral ng Pilipinas, in 2017, 77% of the Filipino population were unbanked, 60% of adult Filipinos still conducted payments through cash, and over 80% used over the counter services to send and receive money. Digitizing these payment and remittance services is a crucial step towards digital financial inclusion.
In 2017, Go-Jek announced its plan to enter the Philippines in 2018 but just this month, the LTFRB has rejected its application to operate due to foreign ownership issues.
